Toyota just landed more than $400M from the state. Where will the money come from?
Toyota announced Monday it will bring the largest private capital investment in North Carolina’s history with a multibillion-dollar battery plant near Greensboro.
The $1.3 billion facility will manufacture vehicle battery packs to facilitate the Japanese automakers’ goal that 70% of its new cars be electric by 2030. Toyota will hire at least 1,750 employees for the site by 2025, when production is scheduled to begin. A Phase II expansion could raise the investment to more than $3 billion and add another 2,125 jobs.
The plant, known as Toyota Battery Manufacturing, North Carolina, will be in Liberty, a small town in Randolph County that is home to the Greensboro-Randolph Megasite — one of several designated areas in North Carolina the state markets to large manufacturers.
To attract Toyota’s landmark investment, several North Carolina governmental bodies and foundations committed to a financial incentives package exceeding $400 million.
Breaking down NC investment in Toyota
Here’s all the money North Carolina will contribute to Toyota’s new battery plant and how it will be used, according to N.C. Department of Commerce records:
Toyota and the Greensboro-Randolph Megasite will have guaranteed access to $438.7 million to begin infrastructure development and site construction, including:
- Job Development Investment Grant: $79.1 million
- N.C. Community College training: $5 million
- Department of Commerce workforce development: $2.3 million
- Department of Transportation: $10 million for road improvements around the site
- Golden Leaf Foundation: $40 million
- State of North Carolina (from budget): $135 million, site preparation.
- Randolph County: $167.3 million.
Potential future money
The state budget outlines an additional $185 million that could be used if Toyota follows through with its Phase II expansion.
If Toyota meets hiring and investment goals , it will be in line for a Job Development Investment Grant worth $79.1 million over the next 20 years.
